Corporate Contact: Ioannis Zafirakis Director, Chief Operating Officer and Secretary Telephone: + 30-210-9470100 Email: izafirakis@dianashippinginc.com Website: www.dianashippinginc.com Investor and Media Relations: Edward Nebb Comm-Counsellors, LLC Telephone: + 1-203-972-8350 Email: enebb@optonline.net DIANA SHIPPING INC. REPORTS FINANCIAL RESULTS FOR THE FIRST QUARTER ENDED MARCH 31, 2018 ATHENS, GREECE, May 10, 2018 Diana Shipping Inc. (NYSE: DSX), (the Company ), a global shipping company specializing in the ownership of dry bulk vessels, today reported a net loss of $3.1 million and net loss attributed to common stockholders of $4.5 million for the first quarter of 2018, compared to a net loss of $26.5 million and net loss attributed to common stockholders of $27.9 million reported in the first quarter of 2017. Time charter revenues were $48.4 million for the first quarter of 2018, compared to $31.3 million for the same period of 2017. The increase in time charter revenues was due to increased average time charter rates that the Company achieved for its vessels during the quarter and increased ownership days resulting from the enlargement of the fleet. -1-
Fleet Employment Profile (As of May 09, 2018) Diana Shipping Inc. s fleet is employed as follows: Vessel BUILT DWT Sister Ships* Gross Rate (USD Per Day) Com** Charterers 22 Panamax Bulk Carriers 1 DANAE A $10,000 5.00% Phaethon International 2001 75,106 Company AG 2 DIONE 2001 75,172 3 NIREFS 2001 75,311 4 ALCYON 2001 75,247 5 TRITON 2001 75,336 6 OCEANIS 2001 75,211 7 THETIS 2004 73,583 8 PROTEFS 2004 73,630 9 CALIPSO 10 CLIO 11 NAIAS 2005 73,691 2005 73,691 2006 73,546 12 ARETHUSA 2007 73,593 13 ERATO 2004 74,444 A $7,050 5.00% $10,350 5.00% A $9,400 5.00% A $8,800 5.00% A $6,500 5.00% A $7,000 5.00% B $8,350 5.00% B $7,900 5.00% B $9,000 5.00% $12,200 5.00% B $8,550 5.00% B $10,000 5.00% B $7,200 5.00% $12,600 5.00% C $10,500 5.00% Caravel Shipping Limited, Hong Jaldhi Overseas Pte. Ltd., Hudson Shipping Lines Incorporated Hudson Shipping Lines Incorporated Transgrain Shipping B.V., Phaethon International Company AG Phaethon International Company AG Noble Resources International Pte. Ltd., Phaethon International Company AG Delivery Date to Charterers** * 22-Dec-17 Redelivery Date to Owners**** 22-Jan-19-7-May-19 Notes 3-Feb-17 23-Jan-18 1 23-Jan-18 23-Mar-19-8-Jul-19 5-May-17 5-Jun-18-5-Sep-18 2 20-Jul-17 8-Jun-17 30-May-17 14-Jul-17 24-Jun-17 20-Jul-18-20-Oct-18 8-Jul-18-23-Oct-18 30-Jul-18-14-Nov-18 14-Jul-18-14-Oct-18 24-Jun-18-9-Oct-18 14-Mar-17 2-Mar-18 3 12-Mar-18 9-Jul-17 26-Nov-17 28-May-19-12-Sep-19 9-Aug-18-9-Nov-18 11-Feb-19-26-May-19 23-Jan-17 27-Apr-18 4 27-Apr-18 30-Dec-17 27-Apr-19-27-Jul-19 2-Mar-19-30-May-19 14 CORONIS C $9,000 5.00% Narina Maritime Ltd 16-May-17 17-May-18-16-Jul-18 5 2006 74,381 15 MELIA $9,500 5.00% Nidera S.P.A., Roma 19-Mar-17 28-Apr-18 6 2005 76,225 $12,000 5.00% United Bulk Carriers International S.A., Luxemburg 28-Apr-18 28-Sep-19-28-Dec-19-2-
16 ARTEMIS 2006 76,942 $9,000 5.00% 8-Jul-17 8-Jul-18-8-Oct-18 17 LETO $7,750 5.00% 29-Dec-16 10-Jan-18 $12,500 5.00% 10-Jan-18 10-May-19-25-Aug-19 2010 81,297 18 SELINA D $7,100 5.00% BG Shipping Co., Limited, Hong 24-Jan-17 6-Feb-18 7 $12,250 5.00% 6-Feb-18 6-Jun-19-6-Sep-19 2010 75,700 19 MAERA D $11,900 5.00% Unico Logistics Co., Ltd., Seoul 19-Sep-17 19-Jun-18-19-Aug-18 2013 75,403 20 ISMENE 2013 77,901 21 CRYSTALIA 2014 77,525 22 ATALANDI $12,000 5.00% E $11,100 5.00% DHL Project & Chartering Limited, Hong 16-Sep-17 3-Oct-17 16-Sep-18-16-Dec-18 3-Oct-18-18-Jan-19 E $5,300 5.00% Glencore Grain B.V., 26-Mar-16 27-Apr-18 2014 77,529 23 MAIA 2009 82,193 24 MYRSINI 2010 82,117 $13,500 5.00% F $10,125 5.00% F $8,650 5.00% Uniper Global Commodities SE, Düsseldorf 5 Kamsarmax Bulk Carriers RWE Supply & Trading GmbH, Essen 27-Apr-18 27-Jul-17 8-Jun-17 27-Jun-19-27-Sep-19 27-Jul-18-27-Oct-18 31-Aug-18-31-Dec-18 25 MEDUSA 2010 82,194 F $10,000 4.75% 6-Jul-17 6-Jul-18-6-Oct-18 26 MYRTO F $8,000 4.75% 17-Jan-17 25-Apr-18 8,9 $14,000 4.75% 25-Apr-18 25-May-19-25-Jul-19 2013 82,131 27 ASTARTE 2013 81,513 28 ALCMENE 2010 93,193 29 AMPHITRITE 2012 98,697 30 POLYMNIA 2012 98,704 31 ELECTRA 2013 87,150 $9,000 5.00% $8,000 4.75% G $11,150 4.75% G $10,100 4.75% H $8,000 5.00% 5 Post-Panamax Bulk Carriers Uniper Global Commodities SE, Düsseldorf 12-Jun-17 8-Jun-17 28-Sep-17 12-Aug-18-12-Nov-18 8-Jul-18-23-Oct-18 28-Oct-18-28-Jan-19 15-Mar-17 18-May-18-15-Jul-18 5 11-Jun-17 11-Jul-18-11-Nov-18-3-
32 PHAIDRA H $7,750 5.00% Jera Trading Pte. Ltd. 19-May-17 13-Jan-18 10 2013 87,146 $12,700 5.00% Uniper Global Commodities SE, Düsseldorf 13-Jan-18 13-Jan-19-13-Apr-19 2 14 Capesize Bulk Carriers 33 NORFOLK 2002 164,218 $13,250 5.00% SwissMarine Services S.A., 1-Dec-17 1-Sep-19-1-Dec-19 34 ALIKI $10,300 5.00% SwissMarine Services S.A., 14-Feb-17 9-Apr-18 $18,000 5.00% 9-Apr-18 9-Dec-19-9-Feb-20 2005 180,235 35 BALTIMORE 2005 177,243 36 SALT LAKE CITY 2005 171,810 37 SIDERIS GS 2006 174,186 38 SEMIRIO 2007 174,261 39 BOSTON 2007 177,828 $11,300 4.75% $9,000 5.00% $16,250 4.75% I $13,000 5.00% I $14,150 5.00% I $17,000 5.00% Uniper Global Commodities SE, Düsseldorf Rio Tinto Shipping (Asia) Pte., Ltd., EGPN Bulk Carrier Co., Limited, Hong 16-Feb-17 18-May-18-1-Jul-18 5 20-Jan-17 1-May-18 21-Jun-17 21-May-17 6-Dec-17 1-May-18 1-Jan-19-1-Mar-19 21-Jul-18-21-Nov-18 21-May-18-21-Sep-18 6-Apr-19-6-Jul-19 40 HOUSTON I $10,000 5.00% SwissMarine Services S.A., 17-Feb-17 9-May-18 11,12 $19,000 5.00% 9-May-18 25-Jan-19-24-Apr-19 13 2009 177,729 41 NEW YORK 2010 177,773 42 SEATTLE 2011 179,362 43 P. S. PALIOS 2013 179,134 44 G. P. ZAFIRAKIS 2014 179,492 I $14,450 5.00% $16,000 5.00% J $11,700 5.00% J $10,550 5.00% K $15,000 5.00% DHL Project & Chartering Limited, Hong RWE Supply & Trading GmbH, Essen 23-Apr-17 2-Feb-18 14 2-Feb-18 2-Jun-19-2-Sep-19 8-Feb-17 19-May-18-23-Jul-18 5 27-Jan-17 17-May-18-11-Jun-18 5 14-Aug-17 29-Sep-18-14-Jan-19 45 SANTA BARBARA K $12,000 4.75% 24-Jan-17 24-Apr-18 $20,250 4.75% 24-Apr-18 9-Oct-19-9-Dec-19 2015 179,426-4-
46 NEW ORLEANS $11,250 5.00% 10-Dec-16 24-Mar-18 2015 180,960 $21,000 5.00% SwissMarine Services S.A., 24-Mar-18 24-Feb-19-24-Apr-19 47 LOS ANGELES 2012 206,104 L BCI_2014 5TCs AVG + 14% 4 Newcastlemax Bulk Carriers 5.00% SwissMarine Services S.A., 22-Jan-17 16-Apr-18 $19,150 5.00% 16-Apr-18 1-Jan-19-16-Apr-19 48 PHILADELPHIA 2012 206,040 L $15,500 5.00% 14-Mar-17 11-May-18 5,15 49 SAN FRANCISCO 2017 208,006 M $11,750 5.00% 5-Jan-17 13-May-18 5 50 NEWPORT NEWS 2017 208,021 M BCI_2014 5TCs AVG + 24% 5.00% SwissMarine Services S.A., 10-Jan-17 10-Nov-18-10-Mar-19 * Each dry bulk carrier is a "sister ship", or closely similar, to other dry bulk carriers that have the same letter. ** Total commission percentage paid to third parties. *** In case of newly acquired vessel with time charter attached, this date refers to the expected/actual date of delivery of the vessel to the Company. **** Range of redelivery dates, with the actual date of redelivery being at the Charterers option, but subject to the terms, conditions, and exceptions of the particular charterparty. 1 The charter rate was US$7,200 for the first ninety (90) days of the charter period. 2 Vessel currently off-hire for drydocking. 3 Vessel on scheduled drydocking from March 4, 2018 to March 12, 2018. 4 Vessel off-hire for drydocking from January 23, 2018 to February 27, 2018. 5 Based on latest information. 6 Since September 17, 2017, Charterers have changed to COFCO Agri Freight SA. 7 The charter rate was US$4,500 for the first thirty (30) days of the charter period. 8 Vessel off-hire for drydocking from December 24, 2017 to January 12, 2018. 9 Charterers have agreed to pay the weighted average of the Baltic Panamax 4 T/C routes, as published by the Baltic Exchange on April 17, 2018 plus 15%, for the excess period commencing from April 17, 2018. If such a hire is less than the current rate, then the current rate of US$8,000 to apply. 10 Charterers have agreed to pay the weighted average of the Baltic Panamax 4 T/C routes, as published by the Baltic Exchange on January 3, 2018 plus 12%, for the excess period commencing from January 3, 2018. 11 The charter rate was US$5,150 for the first fifteen (15) days of the charter period. 12 Estimated redelivery date from the charterers. 13 Estimated delivery date to the charterers. 14 Charterers have agreed to pay the weighted average of the Baltic Capesize 5 T/C routes, as published by the Baltic Exchange on January 2, 2018 plus 10%, for the excess period commencing from December 29, 2017. 15 The compensation for the overlapping period from April 29, 2018 to May 11, 2018, which is beyond the maximum contractual period, is still pending to be agreed between Owners and. -5-
Summary of Selected Financial & Other Data (unaudited) -6- Three months ended March 31, 2018 2017 STATEMENT OF OPERATIONS DATA (in thousands of US Dollars) Time charter revenues $ 48,365 $ 31,288 Voyage expenses 2,077 1,061 Vessel operating expenses 22,930 21,316 Net loss (3,052) (26,470) Net loss attributed to common stockholders (4,494) (27,912) FLEET DATA Average number of vessels 50.0 47.9 Number of vessels 50.0 48.0 Weighted average age of vessels 8.6 7.8 Ownership days 4,500 4,313 Available days 4,444 4,276 Operating days 4,435 4,201 Fleet utilization 99.8% 98.2% AVERAGE DAILY RESULTS Time charter equivalent (TCE) rate (1) $ 10,416 $ 7,069 Daily vessel operating expenses (2) $ 5,096 $ 4,942 (1) Time charter equivalent rates, or TCE rates, are defined as our time charter revenues less voyage expenses during a period divided by the number of our available days during the period, which is consistent with industry standards. Voyage expenses include port charges, bunker (fuel) expenses, canal charges and commissions. TCE is a non-gaap measure. TCE rate is a standard shipping industry performance measure used primarily to compare daily earnings generated by vessels on time charters with daily earnings generated by vessels on voyage charters, because charter hire rates for vessels on voyage charters are generally not expressed in per day amounts while charter hire rates for vessels on time charters are generally expressed in such amounts. (2) Daily vessel operating expenses, which include crew wages and related costs, the cost of insurance, expenses relating to repairs and maintenance, the costs of spares and consumable stores, tonnage taxes and other miscellaneous expenses, are calculated by dividing vessel operating expenses by ownership days for the relevant period. Conference Call and Webcast Information The Company s management will conduct a conference call and simultaneous Internet webcast to review these results at 9:00 A.M. (Eastern Time) on Thursday, May 10, 2018. Investors may access the webcast by visiting the Company s website at www.dianashippinginc.com, and clicking on the webcast link. The conference call also may be accessed by telephone by dialing 1-877-407-8291 (for U.S.-based callers) or 1-201-689-8345 (for international callers), and asking the operator for the Diana Shipping Inc. conference call. A replay of the webcast will be available soon after the completion of the call and will be accessible for 30 days on www.dianashippinginc.com. A telephone replay also will be available for 30 days by dialing 1-877-660-6853 (for U.S.- based callers) or 1-201-612-7415 (for international callers), and providing the Replay ID number 13679523. About the Company Diana Shipping Inc. is a global provider of shipping transportation services through its ownership of dry bulk vessels. The Company s vessels are employed primarily on medium to long-term time charters and transport a range of dry bulk cargoes, including such commodities as iron ore, coal, grain and other materials along worldwide shipping routes.
Cautionary Statement Regarding Forward-Looking Statements Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words believe, anticipate, intends, estimate, forecast, project, plan, potential, may, should, expect, pending and similar expressions identify forward-looking statements. The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, our management's examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections. In addition to these important factors, other important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for dry bulk shipping capacity, changes in our operating expenses, including bunker prices, drydocking and insurance costs, the market for our vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessel breakdowns and instances of off-hires and other factors. Please see our filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. (See financial tables attached) -7-
DIANA SHIPPING INC. FINANCIAL TABLES Expressed in thousands of U.S. Dollars, except share and per share data UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS Three months ended March 31, 2018 2017 REVENUES: Time charter revenues $ 48,365 $ 31,288 EXPENSES: Voyage expenses 2,077 1,061 Vessel operating expenses 22,930 21,316 Depreciation and amortization of deferred charges 12,977 21,073 General and administrative expenses 6,989 5,786 Management fees to related party 600 420 Other loss 324 69 Operating gain/(loss) 2,468 (18,437) OTHER INCOME / (EXPENSES): Interest and finance costs (6,947) (6,388) Interest and other income 1,412 640 Gain/(loss) from equity method investments 15 (2,285) Total other expenses, net (5,520) (8,033) Net loss $ (3,052) $ (26,470) Dividends on series B preferred shares (1,442) (1,442) Net loss attributed to common stockholders (4,494) (27,912) Loss per common share, basic and diluted $ (0.04) $ (0.34) Weighted average number of common shares, basic and diluted 103,124,133 81,253,721 Three months ended March 31, 2018 2017 Net loss $ (3,052) $ (26,470) Other comprehensive loss (Actuarial loss) (7) (7) Comprehensive loss $ (3,059) $ (26,477) -8-
CONDENSED CONSOLIDATED BALANCE SHEET DATA (in thousands of U.S. Dollars) ASSETS March 31, 2018 December 31, 2017* (unaudited) Cash and cash equivalents $ 64,283 $ 40,227 Other current assets 67,826 98,534 Vessels, net of depreciation 1,042,018 1,053,578 Other fixed assets, net 22,581 22,650 Restricted cash 25,582 25,582 Investments in related parties 3,264 3,249 Other non-current assets 3,387 2,902 Total assets $ 1,228,941 $ 1,246,722 LIABILITIES AND STOCKHOLDERS' EQUITY Long-term debt, net of deferred financing costs $ 587,209 $ 601,384 Other liabilities 19,604 20,580 Total stockholders' equity 622,128 624,758 Total liabilities and stockholders' equity $ 1,228,941 $ 1,246,722 * The balance sheet data have been derived from the audited consolidated financial statements at that date. OTHER FINANCIAL DATA (unaudited) Three months ended March 31, 2018 2017 Net Cash provided by / (used in) operating activities $ 9,805 $ (592) Net Cash provided by / (used in) investing activities 30,190 (58,021) Net Cash provided by / (used in) financing activities $ (15,939) $ 45,673-9-